📅 Next Week Nasdaq Outlook

CPI · Employment · Earnings Guidance

Why volatility remains elevated


📰 Summary

  • Next week will be driven by CPI, employment data, and earnings guidance
  • Nasdaq is currently in a high-volatility, direction-searching phase
  • Inflation and labor data will shape interest-rate expectations
  • Earnings guidance — especially from AI-related companies — will test whether AI investment is translating into profits

1️⃣ CPI: When, What to Expect, and Why It Matters

📌 CPI Release Schedule

  • U.S. CPI (January)
    📅 February 13 (Friday)
    ⏰ 22:30 KST / 08:30 ET

🔍 Why CPI Is So Important for Nasdaq

Nasdaq is heavily weighted toward growth and technology stocks, which are highly sensitive to interest rates.

  • Lower-than-expected CPI → Lower rate pressure → Positive for tech stocks
  • Higher-than-expected CPI → “Higher for longer” rates → Valuation pressure on Nasdaq

👉 In practice, CPI acts as a proxy for the Fed’s future rate path.


👀 Which CPI Numbers Matter Most

Market focus is usually in this order:

  1. Core CPI (MoM) – most important
    • Excludes food & energy
    • Best indicator of underlying inflation trend
  2. Headline CPI (MoM)
    • Can affect short-term sentiment, especially via energy prices
  3. Services inflation (especially shelter)
    • Sticky inflation worries the Fed
  4. Surprise vs consensus
    • Market reaction depends more on expectations than absolute numbers

🔮 CPI Outlook

  • Inflation nowcasting models (e.g., Cleveland Fed) suggest moderate monthly increases
  • Market reaction will depend on whether numbers confirm or challenge rate-cut expectations

2️⃣ Employment Data: What’s Being Released and Why It Matters

📌 Employment Report Schedule

  • U.S. Employment Situation (NFP, January)
    📅 Expected around February 11 (Wednesday)
    ⏰ 22:30 KST / 08:30 ET
    (Note: Release timing may shift due to prior government shutdown disruptions)

🧠 Why Jobs Data Moves Nasdaq

Employment affects wages → inflation → interest rates.

  • Very strong jobs → Wage pressure → Rate-cut expectations fade → Tech stocks pressured
  • Very weak jobs → Recession fears → Risk-off sentiment
  • Market preference: gradual cooling without collapse

👀 Key Employment Metrics to Watch

  • Non-Farm Payrolls (job growth)
  • Unemployment rate
  • Average hourly earnings (wage inflation)
  • Labor force participation

Among these, wage growth often has the biggest impact on inflation expectations.


3️⃣ Earnings & Guidance: Which Companies Matter Most

Next week’s earnings are less about mega-cap surprises and more about AI demand confirmation.


🏭 Key Companies to Watch

🔹 Applied Materials (AMAT)

  • Semiconductor equipment = real AI capital spending
  • What matters in guidance:
    • Foundry & memory customer spending
    • AI-related demand (HBM, advanced packaging)
    • Whether AI strength offsets weakness elsewhere

🔹 Cisco (CSCO)

  • AI growth requires networking infrastructure
  • Weak guidance here could signal uneven AI spending
  • Watch commentary on enterprise and data-center demand

🔹 Coinbase (COIN)

  • Acts as a risk-sentiment proxy
  • Strong results → risk-on confirmation
  • Weak outlook → volatility amplification

🤖 Why AI Earnings Misses Matter

Recent AI-related earnings have shown a pattern:

  • Strong revenue growth
  • But profitability lagging massive Capex

What the market now wants:

  1. Clear link between AI spending and margins
  2. Specific customer demand, not generic optimism
  3. Reduced reliance on one or two large customers

Without these, even “okay” earnings can lead to sharp sell-offs.


4️⃣ Nasdaq Recent Trend

  • Sharp sell-off → technical rebound
  • No confirmed uptrend yet
  • Volume confirmation is still lacking
  • Market is reactive, not directional

👉 Current phase: trend validation, not trend confirmation


5️⃣ Why Nasdaq Volatility Is So High

  1. Interest-rate sensitivity
  2. Heavy concentration in a few mega-cap tech stocks
  3. Rising short-term options trading
  4. Unclear macro direction (inflation vs slowdown)

This combination leads to:

  • Fast rallies
  • Fast reversals
  • Large intraday swings

🧾 Final Takeaway

Next week is less about predicting direction
and more about managing volatility and waiting for confirmation.

CPI, employment data, and AI-related guidance will decide whether the recent rebound evolves into something more — or fades back into consolidation.


⚠️ Disclaimer

This content is for informational purposes only and does not constitute investment advice.
All opinions are personal interpretations, and all investment decisions are the responsibility of the individual investor.


📚 References / Additional Resources

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